Introduction :: IRAN

Known as Persia until 1935, Iran became an Islamic republic in 1979 after the ruling monarchy was overthrown and Shah Mohammad Reza PAHLAVI was forced into exile. Conservative clerical forces led by Ayatollah Ruhollah KHOMEINI established a theocratic system of government with ultimate political authority vested in a learned religious scholar referred to commonly as the Supreme Leader who, according to the constitution, is accountable only to the Assembly of Experts (AOE) - a popularly elected 86-member body of clerics. US-Iranian relations became strained when a group of Iranian students seized the US Embassy in Tehran in November 1979 and held embassy personnel hostages until mid-January 1981. The US cut off diplomatic relations with Iran in April 1980. During the period 1980-88, Iran fought a bloody, indecisive war with Iraq that eventually expanded into the Persian Gulf and led to clashes between US Navy and Iranian military forces. Iran has been designated a state sponsor of terrorism for its activities in Lebanon and elsewhere in the world and remains subject to US, UN, and EU economic sanctions and export controls because of its continued involvement in terrorism and concerns over possible military dimensions of its nuclear program. Following the election of reformer Hojjat ol-Eslam Mohammad KHATAMI as president in 1997 and a reformist Majles (legislature) in 2000, a campaign to foster political reform in response to popular dissatisfaction was initiated. The movement floundered as conservative politicians, supported by the Supreme Leader, unelected institutions of authority like the Council of Guardians, and the security services reversed and blocked reform measures while increasing security repression.

Starting with nationwide municipal elections in 2003 and continuing through Majles elections in 2004, conservatives reestablished control over Iran's elected government institutions, which culminated with the August 2005 inauguration of hardliner Mahmud AHMADI-NEJAD as president. His controversial reelection in June 2009 sparked nationwide protests over allegations of electoral fraud, but the protests were quickly suppressed. Deteriorating economic conditions due primarily to government mismanagement and international sanctions prompted at least two major economically based protests in July and October 2012, but Iran's internal security situation remained stable. President AHMADI-NEJAD's independent streak angered regime establishment figures, including the Supreme Leader, leading to conservative opposition to his agenda for the last year of his presidency, and an alienation of his political supporters. In June 2013 Iranians elected a moderate conservative cleric Dr. Hasan Fereidun RUHANI to the presidency. He is a longtime senior member in the regime, but has made promises of reforming society and Iran's foreign policy. The UN Security Council has passed a number of resolutions calling for Iran to suspend its uranium enrichment and reprocessing activities and comply with its IAEA obligations and responsibilities, and in July 2015 Iran and the five permanent members, plus Germany (P5+1) signed the Joint Comprehensive Plan of Action (JCPOA) under which Iran agreed to restrictions on its nuclear program in exchange for sanctions relief. Iran held elections in 2016 for the AOE and Majles, resulting in a conservative-controlled AOE and a Majles that many Iranians perceive as more supportive of the RUHANI administration than the previous, conservative-dominated body. RUHANI was reelected president in May 2017.

population is concentrated in the north, northwest, and west, reflecting the position of the Zagros and Elburz Mountains; the vast dry areas in the center and eastern parts of the country, around the deserts of the Dasht-e Kavir and Dasht-e Lut, have a much lower population density

population is concentrated in the north, northwest, and west, reflecting the position of the Zagros and Elburz Mountains; the vast dry areas in the center and eastern parts of the country, around the deserts of the Dasht-e Kavir and Dasht-e Lut, have a much lower population density

amendments: proposed by the supreme leader – after consultation with the Exigency Council – and submitted as an edict to the “Council for Revision of the Constitution,” a body consisting of various executive, legislative, judicial, and academic leaders and members; passage requires absolute majority vote in a referendum and approval of the supreme leader; articles including Iran’s political system, its religious basis, and its form of government cannot be amended; amended 1989 (2016)

head of government: President Hasan Fereidun RUHANI (since 3 August 2013); First Vice President Eshaq JAHANGIRI (since 5 August 2013)

cabinet: Council of Ministers selected by the president with legislative approval; the supreme leader has some control over appointments to several ministries

elections/appointments: supreme leader appointed for life by Assembly of Experts; president directly elected by absolute majority popular vote in 2 rounds if needed for a 4-year term (eligible for a second term and an additional nonconsecutive term); election last held on 19 May 2017 (next to be held in 2021)

description: unicameral Islamic Consultative Assembly or Majles-e Shura-ye Eslami or Majles (290 seats; 285 members directly elected in single- and multi-seat constituencies by 2-round vote, and 1 seat each for Zoroastrians, Jews, Assyrian and Chaldean Christians, Armenians in the north of the country and Armenians in the South; members serve 4-year terms); note - all candidates to the Majles must be approved by the Guardians Council, a 12-member group of which 6 are appointed by the supreme leader and 6 are jurists nominated by the judiciary and elected by the Majles

elections: first round held on 26 February 2016 and second round for 68 remaining seats held on 29 April 2016; (next full Majles election to be held in 2020)

highest court(s): Supreme Court (consists of the president and NA judges)

judge selection and term of office: Supreme Court president appointed by the head of the High Judicial Council (HJC), a 5-member body to include the Supreme Court chief justice, the prosecutor general, and 3 clergy, in consultation with judges of the Supreme Court; president appointed for a 5-year term; other judges appointed by the HJC; judge tenure NA

Pervasive Coalition of Reformists: The Second Step [Ali SOUFI, chairman] (includes Council for Coordinating the Reforms Front, National Trust Party, Union of Islamic Iran People Party, Moderation and Development Party)

three equal horizontal bands of green (top), white, and red; the national emblem (a stylized representation of the word Allah in the shape of a tulip, a symbol of martyrdom) in red is centered in the white band; ALLAH AKBAR (God is Great) in white Arabic script is repeated 11 times along the bottom edge of the green band and 11 times along the top edge of the red band; green is the color of Islam and also represents growth, white symbolizes honesty and peace, red stands for bravery and martyrdom

Economy :: IRAN

Iran's economy is marked by statist policies, inefficiencies, and reliance on oil and gas exports, but Iran also possesses significant agricultural, industrial, and service sectors. The Iranian government directly owns and operates hundreds of state-owned enterprises and indirectly controls many companies affiliated with the country's security forces. Distortions - including corruption, price controls, subsidies, and a banking system holding billions of dollars of non-performing loans - weigh down the economy, undermining the potential for private-sector-led growth.

The lifting of most nuclear-related sanctions under the Joint Comprehensive Plan of Action (JCPOA) in January 2016 sparked a restoration of Iran’s oil production and revenue that drove rapid GDP growth, but economic growth declined in 2017 as oil production plateaued. The economy continues to suffer from low levels of investment and declines in productivity since before the JCPOA, and from high levels of unemployment, especially among women and college-educated Iranian youth.

In May 2017, the re-election of President Hasan RUHANI generated widespread public expectations that the economic benefits of the JCPOA would expand and reach all levels of society. RUHANI will need to implement structural reforms that strengthen the banking sector and improve Iran’s business climate to attract foreign investment and encourage the growth of the private sector. Sanctions that are not related to Iran’s nuclear program remain in effect, and these—plus fears over the possible re-imposition of nuclear-related sanctions—will continue to deter foreign investors from engaging with Iran.

general assessment: currently being modernized and expanded with the goal of not only improving the efficiency and increasing the volume of the urban service but also bringing telephone service to several thousand villages not presently connected

domestic: heavy investment by Iran's state-owned telecom company has greatly improved and expanded both the fixed-line and mobile cellular networks; a huge percentage of the cell phones in the market have been smuggled into the country

international: country code - 98; submarine fiber-optic cable to UAE with access to Fiber-Optic Link Around the Globe (FLAG); Trans-Asia-Europe (TAE) fiber-optic line runs from Azerbaijan through the northern portion of Iran to Turkmenistan with expansion to Georgia and Azerbaijan; HF radio and microwave radio relay to Turkey, Azerbaijan, Pakistan, Afghanistan, Turkmenistan, Syria, Kuwait, Tajikistan, and Uzbekistan; satellite earth stations - 13 (9 Intelsat and 4 Inmarsat) (2015)

state-run broadcast media with no private, independent broadcasters; Islamic Republic of Iran Broadcasting (IRIB), the state-run TV broadcaster, operates 5 nationwide channels, a news channel, about 30 provincial channels, and several international channels; about 20 foreign Persian-language TV stations broadcasting on satellite TV are capable of being seen in Iran; satellite dishes are illegal and, while their use had been tolerated, authorities began confiscating satellite dishes following the unrest stemming from the 2009 presidential election; IRIB operates 8 nationwide radio networks, a number of provincial stations, and an external service; most major international broadcasters transmit to Iran (2009)

18 years of age for compulsory military service; 16 years of age for volunteers; 17 years of age for Law Enforcement Forces; 15 years of age for Basij Forces (Popular Mobilization Army); conscript military service obligation is 18 months; women exempt from military service (2012)

area(s) of operation: has maintained an operational presence under the name Party of Free Life of Kurdistan (PJAK) since circa 2004; targets Iranian Government personnel, primarily in the northwest in the Kurdish-populated region; PJAK's attack tempo has ebbed since 2011

Transnational Issues :: IRAN

Iran protests Afghanistan's limiting flow of dammed Helmand River tributaries during drought; Iraq's lack of a maritime boundary with Iran prompts jurisdiction disputes beyond the mouth of the Shatt al Arab in the Persian Gulf; Iran and UAE dispute Tunb Islands and Abu Musa Island, which are occupied by Iran; Azerbaijan, Kazakhstan, and Russia ratified Caspian seabed delimitation treaties based on equidistance, while Iran continues to insist on a one-fifth slice of the sea; Afghan and Iranian commissioners have discussed boundary monument densification and resurvey

current situation: Iran is a source, transit, and destination country for men, women, and children subjected to sex trafficking and forced labor; organized groups sex traffic Iranian women and children in Iran and to the UAE and Europe; the transport of girls from and through Iran en route to the Gulf for sexual exploitation or forced marriages is on the rise; Iranian children are also forced to work as beggars, street vendors, and in domestic workshops; Afghan boys forced to work in construction or agriculture are vulnerable to sexual abuse by their employers; Pakistani and Afghan migrants being smuggled to Europe often are subjected to forced labor, including debt bondage

tier rating: Tier 3 – Iran does not comply with the minimum standards for the elimination of trafficking, and is not making significant efforts to do so; the government does not share information on its anti-trafficking efforts, but publically available information from NGOs, the media, and international organizations indicates that Iran is not taking adequate measures to address its trafficking problems, particularly protecting victims; Iranian law does not prohibit all forms of human trafficking; female victims find it extremely difficult to get justice because Iranian courts accord women’s testimony half the weight of men's, and female victims of sexual abuse, including trafficking, are likely to be prosecuted for adultery; the government did not identify or provide protection services to any victims and continued to punish victims for unlawful acts committed as a direct result of being trafficked; the government made some effort to cooperate with neighboring governments and an international organization to combat human trafficking and other crimes (2015)

despite substantial interdiction efforts and considerable control measures along the border with Afghanistan, Iran remains one of the primary transshipment routes for Southwest Asian heroin to Europe; suffers one of the highest opiate addiction rates in the world, and has an increasing problem with synthetic drugs; regularly enforces the death penalty for drug offences; lacks anti-money laundering laws; has reached out to neighboring countries to share counter-drug intelligence